GAMUDA RAISES ANNUAL DIVIDEND BY 33 PCT TO 16 SEN, SIGNALS BULLISH GROWTH PROSPECTS

KUALA LUMPUR, June 25 (Bernama) -- Gamuda Bhd's annual dividend increased by 33 per cent to 16 sen from the previous 12 sen, reflecting confidence in its robust outlook and sustainable growth potential.

The engineering, property and infrastructure company highlighted its resilience, supported by a substantial construction order book of RM24 billion and unbilled property sales amounting to RM6.7 billion.

"The group maintains a healthy balance sheet with a comfortable net gearing of 35 per cent, well below its self-imposed limit of 70 per cent," the company said in a statement.

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For the quarter ending April 30, 2024, Gamuda reported a revenue increase of 82 per cent to RM3.8 billion, compared to the same quarter last year, while net profit rose by six per cent to RM236 million.

Gamuda Land's revenue and net profit grew by 47 per cent and 31 per cent, respectively, driven by strong earnings and margins from domestic projects.

"Overseas revenue now accounts for up to 77 per cent of the group's total revenue, up from 52 per cent, while overall group net profit also increased to 68 per cent from 48 per cent," it said.

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Gamuda's wholly-owned subsidiary, Gamuda Engineering Sdn Bhd, saw its Australian projects significantly drive overseas earnings growth, tripling revenue and net profit.

This overseas growth effectively offsets a temporary dip in domestic earnings, which was hindered by regulatory approvals for several projects, such as the Penang Light Rail Transit (LRT) and the Ulu Padas Hydroelectric Dam in Sabah.

-- BERNAMA